Tata Motors Invests ₹120 Cr to Drive Freight Tiger’s AI Logistics Growth

Key Highlights

• Tata Motors invests ₹120 crore in Freight Tiger.

• Total investment reaches ₹270 crore.

• Freight Tiger manages 5% of India’s freight.

• AI-driven platforms to launch in FY2025.

• Target: 20% freight movement by 2028.

Tata Motors Limited has announced a fresh investment of ₹120 crore in Freight Commerce Solutions Private Limited, widely known as Freight Tiger. This is the company’s second major capital infusion into the digital freight platform, highlighting its commitment to building a strong and tech-driven logistics ecosystem in India.

The new investment includes ₹120 crore through subscription of Series C Compulsorily Convertible Preference Shares (CCPS) and an additional ₹14 crore for acquiring 49,500 equity shares from existing shareholders. After this, Tata Motors is expected to hold between 42% and 46% stake in Freight Tiger on a fully diluted basis.

Key Highlights of the Investment

• Cumulative Commitment: With this round, Tata Motors total investment in Freight Tiger has reached ₹270 crore, after an earlier infusion of ₹150 crore in October 2023.

• AI-Driven Innovation: The fresh funds will support Freight Tiger’s AI-powered platforms, including a Vehicle Supply Density Platform and a next-generation Dispatch Planning & Procurement Module, expected to launch in Q4 FY2025.

• Operational Scale: Freight Tiger currently manages about 5% of India’s freight movement, connecting over 450 shippers with 2,600 logistics providers across 140,000+ locations.

• Strong Client Base: The platform works with top corporates like Saint-Gobain, JSW Steel, Asian Paints, Amul, Apollo Tyres, Zepto, and Birla Pivot.

Building a Future-Ready Logistics Network

According to TV Swaminathan, Vice President and Head of Digital Business at Tata Motors Commercial Vehicles, the partnership aims to combine Tata Motors robust truck infrastructure with Freight Tiger’s advanced digital freight network. He noted that this step aligns with Tata Motors vision of creating a seamless, tech-enabled logistics ecosystem for India.

Freight Tiger’s Growth and Market Position

Founded in 2014 and headquartered in Mumbai, Freight Tiger operates a cloud-based Transportation Management Software (TMS) along with a marketplace app that connects fleet owners and logistics providers. The platform caters to multiple industries such as steel, cement, FMCG, automotive, and e-commerce.

As per filings, Freight Tiger reported:

• Revenue of ₹26.6 crore in FY25 (compared to ₹17.8 crore in FY24 and ₹18.9 crore in FY23).

• Authorized share capital of ₹10.05 crore.

The latest transaction, completed on September 30, 2025, did not require any regulatory approvals and officially made Freight Tiger an associate company of Tata Motors.

Statements from Leadership

Swapnil Shah, Founder and CEO of Freight Tiger, said, “Our aim is to manage 20% of India’s freight movement by 2028. With Tata Motors support, we are building the digital backbone of India’s logistics sector to drive efficiency, transparency, and sustainability.”

Outlook for India’s Logistics Sector

This strategic investment highlights Tata Motors push towards digital transformation in logistics. With Freight Tiger’s AI-powered solutions and Tata Motors’ large commercial vehicle network, the collaboration is expected to:

• Improve efficiency in freight movement across India.

• Reduce operational costs for shippers and logistics providers.

• Accelerate the adoption of smart, data-driven logistics systems.

As India’s freight and logistics sector continues to expand, the Tata Motors–Freight Tiger partnership is set to play a crucial role in shaping the future of AI-powered logistics in the country.

Also Read: Tata Motors Demerger Begins October 1: Shareholder Benefits, New Leadership, and Listing Plans

CMV360 Says

Tata Motors ₹120 crore investment in Freight Tiger marks a big step towards building a smarter logistics network in India. With AI-driven solutions, strong infrastructure, and a wide client base, the partnership aims to transform India’s freight movement. By targeting a 20% market share by 2028, Freight Tiger and Tata Motors are set to boost efficiency, reduce costs, and create a sustainable, tech-driven logistics ecosystem for the future.